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Next: capital strike.
Barry Knapp, United States equity strategist at Barclays, said big business was engaging in a "capital strike" — a reluctance to commit substantial sums for long-term projects "until the results of the election are known, and it's clear that the fiscal cliff can be averted".
The result was what came to be known as a "capital strike".
You're familiar with the arguments: –Those on the right look at the $1.8 trillion in cash reserves held by U.S. companies and conclude that business has gone on a capital strike.
Beyond that level high taxes will reduce the incentives for hard work and investment to the point that there will be, as there was in the 1930s, a capital strike and a refusal to work more and more for less and less.
(Advertisement: If you want to understand how $300 billion of troubled subprime loans exploded into several trillion dollars of toxic assets, you'll find it spelled out clearly in my book, The Looting of America.) Both the buyers and the sellers of these toxic assets have basically gone on a capital strike.
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Now, as the host of a radio program financed by the United Nations, she ventures into the ghettos of the Liberian capital, striking up conversations with idle young men.
This isn't a completely crazy idea: as Keynes argued, "animal spirits" play an important role in driving business decisions, and there are historical examples of so-called "capital strikes" — where investors pulled capital out of an economy in reaction to anti-business policies.
Last week, NATO focused its heaviest daylight bombing raids on Colonel Qaddafi's command compound in Tripoli and attacked his tented retreat in the desert east of the capital, strikes that a senior American official described as having been "psychological" as much as military.
The attack, which sent brightly lighted columns of smoke and ash high into the night sky above the Syrian capital, struck several critical military facilities in some of the country's most tightly secured and strategic areas, killing dozens of elite troops stationed near the presidential palace, a high-ranking Syrian military official said in an interview.
The innovative home goods manufacturer raised huge amounts of capital, struck partnerships with GE and major retailers, and promised to disrupt the way household goods are made.
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